Success and the art of money

The art of money

At some point in many people’s lives comes the realisation that the unbridled aspirations of youth may never come to pass. As years pass and old dreams fade, we have the opportunity to reassess our goals based on experience and current aspirations.

Success may be defined in different ways, changing with time from flying jets, playing in a stadium rock band, or being the next Branson to such things as living a good life, having a career, bringing up a family and having a nice home.

And of course having money, that part doesn’t usually change. To most the very word success denotes financial achievement and is the achievement by which we are measured. So how do we get it?

Earn more than you spend

As a first step toward success, you must understand a fundamental principal – income must exceed expenses. This is the most important ‘law of success’ and allows you to invest and grow your wealth.

Running ‘bad’ debt free

One important factor separating winners from losers is debt. Although mortgage financing to acquire real estate, as well as income generating appreciating assets, makes good sense personal loans for activities such as holidays or to purchase depreciating assets such as cars is  a mistake.

Credit cards are a convenience and a major trap. They allow people to consistently live beyond their means and as they do so the debt increases. The interest rates are well above market rates and very profitable for the banks. That is why they are happy with the minimum payment each month. When the monthly statement arrives pay the balance before the due date.

A nice dose of scepticism

In navigating the perilous waters that lead to prosperity, you’ll encounter many sharks. Avoid them by demonstrating a healthy dose of scepticism. Deals that look too good to be true usually are. Get rich quick schemes don’t work. It’s unlikely that you will make a million dollars working one hour a day at the kitchen table in your underpants. You won’t get rich taking ‘hot tips’ from friends.

Success takes work and persistence so you need to be discerning on where you apply your mental and financial capital.

 Controlling your now

As we journey through life there are three states on which we may fixate: the past, the present, and the future.

It’s important to reflect upon the past, by evaluating earlier successes and failures we create a guide for the future. It’s equally important to keep an eye on the future, knowing where we’re going allows us to create a path to take us there.

However it’s only the present that affords us control, providing the opportunity to influence events to achieve favourable results. If you regularly take action to influence current situations to your best advantage you’re well on the way to success.

Retire at 50

It may not always be feasible but would you like to be in a position to retire at 50? This milestone usually means 25 to 30 years of working, climbing the ladder, establishing yourself, paying off a mortgage, securing a few investments and for many raising a family.

 If the first half of life is spent working for your assets, it’s not unreasonable that during the second half your assets work for you? This doesn’t mean you must actually retire at this age, and indeed most successful people pursue endeavours that are fulfilling beyond this but do so on their own terms.

Whatever the case the option should be yours.

Your reputation is your personal brand

A reputation of integrity, reliability and doing what you say is one of the most valuable assets you can possess. It defines your personal brand. There are no limits to the opportunities offered to those whose words and actions can be trusted. This quality is truly a mark of success.

Wealth and success

Wealth, at least to a certain degree, is a necessary criterion for success. However, the possession of wealth is not in itself sufficient as it’s the combination of financial security, lifestyle, health and attitude that defines personal success.

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2 Responses to “Success and the art of money”

  1. paulhassing Says:

    Great to see you back in the saddle My sole request is for left-aligned text (which makes for easier reading – at least in my experience).

    I couldn’t agree more with your views on integrity. Truth really does set one free.

    Keep on trucking and keep on posting. Best regards and all power to your arm!

  2. adamnrave Says:

    This is very helpful, many thanks. It doesn’t take much intelligent input to make a big difference to one’s outcomes … something I’m starting to realise more and more. Thanks for an interesting read …

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